Author: MJM Limited

On 31 March 2016, lawyers from MJM Limited attended a Student Networking Event at the Bermuda College, providing students with information and insight into a legal career. Students had the opportunity to hear from lawyers Louise Charleson and Kimberley D. Caines as well as from the firm's pupil, Tristy Smith, about the various areas of law practiced in Bermuda, the process to qualify and the benefits of pursuing a legal career. Overall, although the students' areas of study varied, they learned of the benefits of utilizing their unique skills if they were to enter the field of law as a lawyer and had the opportunity to network with us.

The recent sitting of Senate has seen significant legislative amendments introduced. One amendment in particular that has caused great discussion is that of the property rights now afforded to Permanent Residence Certificate Holders (“PRC Holders”). For clarification, a PRC holder is one who has obtained a Permanent Resident’s Certificate by the Minister under section 31A or 31B under the Bermuda Immigration and Protection Act 1956 (the “Act”).

On 22 December 2014, counsel for the Corporation of Hamilton (the “Corporation”) initiated proceedings to challenge the constitutionality of certain amended sections of the Municipalities Act 1923 (the “Act”) (the “Proceedings”). On 26 January 2015, the Minister of Home Affairs (the “Minister”) exercised his right under section 7B(6) of the Act and provided notice to the Corporation that he intended to assume temporary stewardship of it (the “Stewardship”).

Bermuda has moved closer to equivalence under Solvency II (Directive 2009/138/EC) and the retention of EU market access for Bermuda commercial (re)insurers. The encouraging news follows the recent consultation paper published by the European Insurance and Occupational Pensions Authority (EIOPA) which is focused on the equivalence assessment of the Bermuda supervisory system (EIOPA-CP-14/042). EIOPA has endorsed certain key aspects of Bermuda’s regulatory and supervisory regime subject to certain caveats. A notable area of required improvement includes those rules applicable to the supervision of commercial life (re)insurers. It is, however, acknowledged that the BMA has implemented, or plans to implement, rule changes to address these concerns. EIOPA’s advice is limited to the commercial class of (re)insurer being 3A, 3B, 4, C, D and E and (re)insurance groups. This is significant as it preserves the Bermuda Monetary Authority’s (BMA) risk based and proportionate approach to the regulation of the commercial market as distinct from its captive market.

In January this year we acted for the Plaintiff against five Defendants in a claim for damages for breach of a Sale & Purchase Agreement of a Bermudian fund management company. The Defendants were directors and shareholders of the fund management company and had negotiated a staged management buyout from the Plaintiff vendor. The Plaintiff alleged that the Defendants entered into an agreement with another fund manager to conduct business from their platform in an attempt to evade liability for ongoing payment of the staged purchase trailer fees (“the impugned transaction”).